Article Summary Due in Part to a Lackluster Economy,Mexico Is Experiencing an Experiencing

question 200

Multiple Choice

Article Summary
Due in part to a lackluster economy,Mexico is experiencing an exodus of some of its brightest and most educated citizens.More than 20 percent of Mexicans with bachelor's degrees are living in the United States,28 percent working on higher education degrees are doing so in the United States,and 27 percent of Mexicans with doctorates are working in the United States.The three main reasons given for this exodus are money,politics,and safety.Pay gaps are wide between university positions in the two countries,scholarship money is scarce in Mexico and is subject to political bureaucracy and nepotism,and a 2014 study from Mexico's National Autonomous University reported that 76 percent of high-skilled workers stated that violence was a reason for their departure from the country.
-Refer to the Article Summary.If,after the outflow of educated workers in Mexico,it now takes more capital per hour worked to get the same amount of GDP per hour worked,this indicates ________ the per-worker production function in Mexico.

• A)a movement up
• B)a movement down
• C)an upward shift of
• D)a downward shift of

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Definitions:

Investment Banks

Financial institutions that provide a variety of services including underwriting, acting as intermediaries in mergers and acquisitions, and facilitating securities issuance.

Subscription Price

The price at which existing shareholders can buy more shares of stock in a rights issue before it is offered to the public.

Rights Offering

A financing process in which a company offers existing shareholders the opportunity to purchase additional shares directly, usually at a discount and before the general public.

Institutional Investors

These are entities such as pension funds, mutual funds, insurance companies, and endowments that invest large amounts of money on behalf of individuals.